How (do) industrial districts and value chain positioning affect firm sustainability orientation? Evidence from the Italian fashion industry

The relationship between industrial districts and firm sustainability orientation has gained attention; however, systematic evidence remains limited. This study investigates how value chain positioning, distinguishing business-to-business firms from business-to-consumer firms, interacts with industrial district locations in shaping environmental sustainability orientation. Using data on 1083 Italian fashion firms, we combined financial information from ORBIS and AIDA with web-scraped sustainability indicators. OLS and instrumental variable estimations show that firms located in industrial districts exhibit a stronger environmental sustainability orientation, with effects particularly pronounced among B2B firms operating within districts. These findings offer important implications for entrepreneurs, sustainability managers, policymakers, and stakeholders.